- Apr 12, 2021
- Business Update
JD Joins Hands with Maternal and Baby Brands to Serve New Generation of Parents
by Rachel Liu
JD Super, JD’s online supermarket, held the annual JD Super Baby Festival of JD’s maternal and baby products today at JD’s Beijing headquarters. On the ceremony, JD shared its goal to build deeper cooperation with global maternal and baby brands on supply chain, products and sales channels to jointly achieve better growth on the platform.
According to the 2021 Chinese Maternal and Baby Market Consumption Trends report released by leading Chinese consulting firm iResearch on the event, over 60% of parents in China are of the post-90s and post-95s generations, and 66% of parents have bachelor’s degrees. These well-educated parents prefer “scientific parenting,” and are willing to spend more money on better products for their children.
“The new consumption trends mean that customers are looking for more high-end products, as in products that are better looking and more unique with detailed functions,” said Jingwen Ruan, partner of iResearch, during the ceremony. “For example, we found that the demands for goat milk, organic milk powder and diapers made of new technologies and materials are rising.”
The report also shows that 88% of customers prefer to buy baby-use products through online channels, and 73% of customers already see online channels as the first choice to buy these products.
“We will work with brands on new product cultivation, customer lifecycle management, sales channels and data cooperation and supply chain management to better meet customers’ demands. Omni-channel and digitalization are unstoppable trends of the industry, and JD will open up our capabilities and achieve win-win cooperation with brands,” said Carol Fung, president of JD FMCG Omni-channel. “Together with our brand partners, we hope to make our customers’ parenting easier, providing more trustworthy service and promoting the growth of the whole industry.”
For new products and brand cultivation, JD will explore the new consumption trends and develop customized products with brands. For example, when JD observed that online searches for millet and pumpkin had increased rapidly among parents, the company quickly developed C2M millet and pumpkin flavored rice powder with American brand Gerber. In the first three months of launching, the product became one of the best-selling products and accounted for over 10% of sales of the brand on JD. The company also jointly developed an avocado baby skincare cream with Chinese brand Baby Elephant.
Additionally, JD will identify customers from more channels such as vertical media for parenting, offline stores, short video and livestreaming platforms to better analyze customers’ preferences to achieve targeted marketing and user lifecycle management.
To provide faster delivery service for customers, JD will use its Omni-channel Fulfillment project to integrate online orders with offline stores and supermarkets. In 2021, JD also aims to open 1,000 offline maternal and baby stores, and work with Better Life and Huaguan (华冠) supermarkets to build front warehouses. Omni-channel marketing is another way to help brands accumulate more users. Biostime just launched a new milk powder exclusively on JD, and JD plans to integrate online and offline marketing channels to cover over 10,000 offline stores, hoping to help the brand reach as many customers as possible.
“The consumption trends for maternal and baby products are changing quickly, and parents have more detailed and personalized demands,” said Longwu Jiang, general manager of JD Maternal and Baby Products. “The new generation of parents know exactly what kinds of products they need at different stages. Besides products, they also want more information and guidance on scientific parenting. I hope all brands can join JD to provide an easier, more considerate and trustworthy shopping experience for customers.”